PH exports continue double-digit growth
MANILA, Philippines – Maintaining its position among the top performers in East and Southeast Asia, the country’s top exports continued their double-digit growth at 10.5% in August, the National Economic and Development Authority (NEDA) reported on Friday, October 10.
Total export receipts totaled $5.5 billion during the period, up from US$5.0 billion in August 2013 due to stronger outward sales of manufactured products, total agro-based, and mineral products, The Philippine Statistics Authority (PSA) said.
Total exports also increased by 9.2% to $40.7 billion for the first 8 months of 2014, from $7.3 billion in the same period in 2013.
The Philippines now places 3rd as the highest exports performer in East and Southeast Asia, following Vietnam at 12.6% and Indonesia at 10.6%.
“Manufactures remained as the major contributor to exports growth, reflecting the positive developments in the global manufacturing sector,” NEDA deputy director-general and currently officer-in-charge Emmanuel F. Esguerra said.
Exports in July 2014 showed receipts reaching $5.46 billion that month, up 12.4% from $4.86 billion in July 2013. The growth was faster than the 2.8% rise recorded last year, but slower than the 21.3% jump in June.
Export earnings from manufactured goods reached $4.4 billion, up by 8.4% from $4.1 billion registered in August 2013, PSA said.
The manufacturing sector's performance was mainly due to increased outbound sales in diverse commodities. Electronic products remain on top of the list, with their total sales receipts reaching $2.3 billion in August 2014, higher by 10% versus $2.1 billion in August 2013, Esguerra noted.
Higher production indices of intermediate and capital goods, including higher net sales indices both in terms of volume (5.6%) and value (3.3%) in August 2014 were also noted, the PSA’s Monthly Integrated Survey of Selected Industries (MISSI) report said.
The PSA MISSI report shows that the manufacturing sector is moving toward more diversification and there is a continued strong local demand for manufactured goods and improvement in export demand.
“In fact, the fast approaching holiday season is also expected to beef up the sector’s production, as we anticipate an increase in demand from both the local and external consumers,” Esguerra said.
Coconut products bounced back
Apart from manufactured products, total agro-based products also sustained their robust growth in August 2014, with their export value hitting $505.2 million, or up by 41% from $358.4 million in the same period last year.
The coconut products’ performance also bounced back from a 2-month volume shipment slump in June and July this year. Accounting for 53.2% of total agro-based exports, outward shipment of coconut products grew by a hefty 124%, likewise benefitting from higher international prices during the period, Esguerra said.
Meanwhile, revenues from mineral products also grew by 30.9%, mainly due to increased shipment of iron ore agglomerates, copper metal, chromium ore, and other mineral products. This is also largely due to higher demand from the People’s Republic of China (PR China), Hong Kong, and South Korea.
Petroleum and forest products though registered lower revenue performances.
Japan remains as top export market
Japan remains as the country’s top export market with a total value of $1 billion, accounting for 19.1% of our total revenues from merchandise exports during the period. This is followed by the People’s Republic of China with a 15% share and the US with 14.6%.
Shipment to the members of the Association of Southeast Asian Nations (ASEAN) account for 14.1% of the country’s total exports while the European Union (EU) covered 12.7%.
Esguerra noted exports’ double-digit growth remains healthy and is likely to be sustained, primarily anchored on increasing global demand alongside business expansions and new product launches for garments and information technology sectors, including improved availability of raw materials and agricultural products.
“Moving forward, export revenue growth is likely to be driven by the rebound in the export of electronic products, machinery, and transport and other electronics,” Esguerra said. – Rappler.com